Breaking News: Grenada Raises Minimum Investment for Citizenship by Investment Program

Grenada has signed up to a new deal that’s set to shake up the Caribbean Citizenship-by-Investment (CBI) scene.

Along with St Kitts & Nevis, Antigua & Barbuda and Dominica, Grenada signed a Memorandum of Agreement (MOA) that will raise the minimum investment required to qualify for citizenship to US$200,000 by June 30, 2024.

The significant policy shift is part of a broader Caribbean initiative aimed at upgrading regional standards and comes in the wake of international scrutiny and criticism of the security and integrity of some local CBI programs.

The four island nations maintain that the program overhaul is another significant step towards enhanced regulatory integration, transparency, and the eradication of underselling – a notable concern within the industry.

The agreement addresses issues such as sharing information on CBI applicants, enhancing transparency measures, establishing a regional competent authority, setting common standards of communication and promotion, regulating agents and facilitating joint training programmes.

That means greater security and transparency: vetting of CBI applicants will be strengthened and the four island nations will establish a shared digital portal for exchanging information on applications.

But, the change that will be most closely scrutinised by investors will be the increase of the minimum CBI level to US$200,000 by the end of June 2024.

Notably, St Lucia has opted out of this price hike, though it has implemented its own extra due diligence fee of US$500. St Lucia’s stance is interesting and provides investors with an alternative to the new MOA.

We’ll continue to cover this developing story and bring you updates on what’s clearly a significant shift in policy on CBI programs in the Caribbean. But things move quickly in this scene and there’s no guarantee St Lucia will sit this new move out indefinitely. So, if you’re currently exploring the option of Caribbean CBI, take time to read our comprehensive guide below and get in touch.

Grenada Citizenship by Investment: The Ultimate Guide

Become a citizen of Grenada in the Caribbean and get a passport offering visa-free travel to over 145 countries.

A luscious Caribbean island state, Grenada is known for its vast stretches of white-sand beaches, pristine rainforests and spice exports. 

For years, Grenada and its luxurious resorts have attracted high-net-worth individuals with top-notch sailing opportunities and crystalline shores that offer relaxing getaways. 

But the ‘Island of Spice’ doesn’t just rely on nutmeg or tourist dollars for its sustenance. Grenada is also known for being an offshore tax haven and for its citizenship by investment (CBI) program, which is aimed at financial nomads who want to obtain a second passport.

With CBI schemes relatively plentiful in this region, you may well ask, what makes Grenada different? 

For the willing investor, Grenada offers a few distinct advantages that no other CBI country in the region can offer. 

To begin with, it’s one of only two Caribbean citizenship-by-investment programs that offer visa-free access to China. If you do a lot of business in China or hope to do so, it might make sense to choose Grenada over other CBI programs. 

Secondly, since Grenada signed a treaty with the US, Grenadian citizens have traditionally had easy access to the United States via the E-2 Investor Visa. The treaty allows Grenada passport holders to enter, invest and work in the US with certain restrictions and prerequisites. 

However, all that might be about to change with the US’s Advancing Mutual Interests and Growing our Success (AMIGOS) Act which was signed into law by the Biden administration in 2023.

This act’s provisions have created two key changes to the eligibility for E-visas to enter the US:

• Portugal is now a designated treaty country, and Portuguese passport holders are able to obtain E-1 and E-2 visas as traders or investors. This allows them to enter the US for up to two years and participate in trade or investment activity there.
• E-visa eligibility has been limited to applicants who have citizenship of a treaty country through financial investment and must have been domiciled there for a continuous three-year period before applying for the E-visa. 

As such, by creating favourable conditions for Portuguese passport holders to enter the US, the AMIGOS Act could negatively impact the citizenship-by-investment programs of countries like Grenada and Turkey.

Typically, an investor doesn’t intend to stay long-term in such countries in order to qualify for a US E-visa, so it remains to be seen what impact the AMIGOS Act will have on demand for Grenada’s CBI program. 

This program isn’t for everyone. It’s not the cheapest program available, nor does it offer the speediest access to a passport. However, the island and its reputation make it a real contender for those considering adding to their passport portfolio. 

Clearly, there’s a lot to weigh up here. Making the move to go offshore can be overwhelming, especially with so many options available. That’s why it’s best to work with a team of international experts like our crew at Nomad Capitalist. If you’re having trouble deciding Grenada’s CBI program is right for you, reach out to us today and let us help.

In the meantime, this in-depth analysis should answer many of your initial questions and dispel some of the myths and anxiety surrounding the idea of applying for Grenada citizenship by investment.

Citizenship by Investment: The Basics

A CBI program is another term for economic citizenship and usually comes about when a country’s government decides it wants to attract foreign investment by offering citizenship for sale.

CBI programs are an established way for smaller countries to attract people and investment to their shores. Usually, a potential investor will have to satisfy one of the following conditions to secure citizenship and a passport:

•    Make a non-refundable donation to a national fund
•    Invest in government-approved real estate 
•    Set up and run a local business that employs local people
•    Invest in government bonds or other financial instruments.

Only after the conditions of the citizenship-by-investment program are fulfilled will the investor be accepted.

Why Grenada CBI?

Grenada, the Caribbean country popularly known as the ‘Island of Spice,’ was once one of the largest exporters of nutmeg in the world. The island is known for its immaculate natural environments, including sites like the Grenada Underwater Sculpture Park or the Seven Sisters waterfalls located near the centre of the island nation. 

Holidaymakers from all over the world visit to enjoy Grenada’s year-round sunshine and the island also retains the status of an offshore tax haven for high-net-worth entrepreneurs and investors.

So, what does this small collection of islands off the coast of Venezuela have to offer?

Even though its population of just over 126,000 is somewhat small, its citizenry are young and dynamic. The average age here is just 31 years olds and the population is well educated, with both men and women ranking above average in areas such as literacy and school enrolment.

While Grenada’s colonial history is turbulent with the Spanish, French and British all vying for control of the island, its modern-day international standing is solid. It is part of the Commonwealth, the United Nations (UN) and the Caribbean Community organisation (Caricom).

The island has an enviable location and is blessed with year-round balmy temperatures of over 80 degrees Fahrenheit. More good news – it sits largely outside the hurricane belt, allowing (most) tropical storms to pass it by. 

Government here is stable and has been for the last 35 years. The last major outbreak of political turmoil here came in 1983, when the United States led a ‘rescue mission’ to rid Grenada of the threat of communism. When it comes to state affairs, no news usually means good news and, since 1983, major improvements to the country’s infrastructure have seen it grow exponentially. 

Grenada’s Economy

The country has a small but robust economy. However, its over-reliance on a few industries has meant that the Grenada citizenship-by-investment program has become somewhat of an economic lifeline for the island. 

Grenada has long suffered from high foreign debt, which in 2021 amounted to approximately 68.9% of the nation’s Gross Domestic Product (GDP) and the government has worked hard to rebalance the books by looking at alternative sources of income.

With some of the best beaches in the world, waterfalls, rum factories and spice farms, Grenada’s tourism is rapidly expanding, while its CBI program is helping to attract foreign investment.

Once an agriculture-based economy exporting nutmeg, cocoa beans, fish and wheat flour, Grenada has succeeded in becoming a tourism-focused and service-driven economy.  

Still, despite the country’s prime minister repeatedly stating that Grenada is not dependent on its CBI program, the numbers tell a different story. 

Since records began, Grenada’s CBI consistently improves each year:

• 2019 was a record year: the Grenadian Government raised $61 million (13% year-on-year increase)
• In 2021, 566 investors applied for Grenada citizenship (30% increase on 2020)
• 402 applications were approved, and a total of 1,272 citizenships were granted throughout 2021 under the CBI program
• In 2022, Grenada issued 453 new citizenship-by-investment visas in 2022, with only 8 rejections.

The Main Pros of Having a Grenada Passport

The E-2 Visa – Access to the United States 

Grenada’s E-2 visa treaty with the United States is one of the program’s unique advantages. Although not guaranteed, the potential to access the US is highly coveted and Grenada is the only Caribbean CBI program to offer it. 

That’s a big deal for Grenada since it means having a Grenadian passport will allow you to obtain a visa to live and work in the United States, based on an investment you will be controlling, while operating a business there.

That’s an incredible opportunity for those who’ve always wanted an ‘in’ to the US, along with those considering renouncing their US citizenship.

It’s not guaranteed that you will get into the United States but if you are granted an E-2 visa, it’s valid for five years. It can be renewed as many times as you like as long as you maintain your investment in Grenada. However, depending on the type of business and its location, investments below the US$100,000 threshold may not be accepted for the E-2 visa.

The benefits of the E-2 include your spouse being able to seek employment in the US freely. The E-2 visa processing time is only two months and your parents and children under the age of 21 can also enter the US.

Another advantage is free education in US public schools and dependant children (up to 21 years of age) don’t have to pay the same tuition as international students.

Grenada isn’t the only country with this potential – Turkey also has E-2 treaty with the US, so you could gain access to the US via its CBI program – but Grenada is the only Caribbean country with an E-2 treaty. Also, Turkey demands a higher premium and has other drawbacks compared to Grenada. 

Ultimately, you’ll need advice when navigating the CBI world and finding the best option to fit your needs. That’s where Nomad Capitalist comes in. We work with seven-to-eight-figure entrepreneurs to help them go where they’re treated best. No matter what you’re seeking in your new passport, we’ll work with you to develop a holistic plan tailored to your personal needs.   

Recent Grenada Citizenship-by-Investment Reforms

The Grenada CBI program is not without its issues. Just a few years ago an aquaculture project collected CBI investor money but then failed to materialise.

 Although it has not enforced it yet, Grenada signed an extradition treaty with China – the main source of CBI applicants. The treaty was taken by many as a warning to criminals that Grenada wouldn’t hesitate to extradite people if required.

With that in mind, it should also be noted that Grenada means business when it comes to due diligence and the government has consistently stated that it will not compromise its security checks on prospective CBI candidates.

In the face of stiff competition in recent years from its neighbours and other CBI programs around the world, Grenada has tightened up the integrity and security of its CBI program.

In March 2022, Karline Purcell, Chief Executive of Grenada’s Citizenship-by-Investment Program, stated that: ‘The government of Grenada has decided to temporarily suspend the acceptance of new applications from Russians and Belarussians.’

To stay competitive, the Grenadian CBI program has undergone continuous reform since its inception under the Citizenship by Investment Act of 2013. In doing so, the government has taken a unique approach: keeping its price the same but adding extra incentives. 

According to the country’s Minister of Trade, Oliver Joseph: ‘You would note that there is no amendment that reduces prices. We must have a program that offers attractive benefits without having to reduce the price.’

That’s why Grenada CBI is not the most affordable option but certainly one of the most reputable: . Thanks to the recent changes:

• The definition of a ‘dependant’ has changed: Dependant parents and grandparents older than 55 years can be added under the main applicant; they do not have to live with the applicant.

• Unmarried siblings older than 18 years of age of the main applicant and the spouse can also be added.

• Children born within 12 months of an applicant obtaining citizenship will automatically be added.

• Dependant children can be aged up to 30 to be added to an application.

• Dependant children between 18 and 30 years of age no longer have to be enrolled in college or university to be eligible.

• Applicants don’t need to be permanent residents before applying for citizenship – saving paperwork and time.

• Applicants need to retain the real estate investment for a minimum of five years to hold on to their citizenship.

• Grenada will keep real estate investors’ money in escrow as opposed to handing over the cash to developers. It will only release the funds if developers have their own money vested in the project and can show they are making actual progress with a project.

These upgrades have certainly grabbed investors’ attention with the result that the Grenada CBI program is now more popular than ever. 

Read on to discover how you can get your hands on a Grenadian passport.  

How to Get Grenada Citizenship by Investment

Even though the CBI program has undergone considerable change, the investment types have remained the same. 

You must use a local government-authorised agent in order to apply for your citizenship for both the donation route and the real estate investment route. 

See our step-by-step guide to each of the investment options below.

The Donation Route: the National Transformation Fund

Grenada offers applicants the option to pay a pre-set sum into its National Transformation Fund (NTF). Grenada’s NTF is responsible for financing infrastructure projects on the islands. 

The contribution is a one-off payment that grants you immediate citizenship. 

The sum is US$150,000 for a single applicant, US$200,000 for a family of up to four family members (excluding siblings) and $200,000 plus US$25,000 per additional dependant after the third dependant.

Each additional child adds US$25,000, parents add US$50,000 and siblings (over 18, unmarried with no children) add US$75,000 to the total bill. But that’s not all, because other fees must be paid:

• The application fee is US$1,500 per person – payable once, regardless of how many people are applying
• There is a processing fee of US$1,500 per person for a single main applicant or a couple; add an additional US$1,500 for each 18+ dependant and US$500 per child aged 0-17.
• The due diligence fee is US$5,000 per person for a single applicant or a couple; every additional person aged 17 or older will add US$5,000 to the total bill.
• There’s an interview fee of US$1000 per adult.

All in all, a single person choosing the donation route will pay approximately US$159,000 to the national transformation fund, whereas a family of four with two young children will be charged a minimum of US$220,000.

The Real Estate Investment Option

Investing in real estate is another option for those who want to obtain a Grenadian passport. The amount required will vary depending on your situation.

To qualify for a Grenadian passport, you must invest US$350,000 in real estate as a solo investor. If you invest with a partner, the minimum investment drops to US$220,000 plus US$50,000 in government fees.

The recent reduction in price for co-investors mirrors similar price reductions in other Caribbean CBI programs. 

As with the donation route, you can expect to pay application, processing, due diligence and interview fees though these will vary depending on the age of the applicant (if applying as a family).

That said, you may not want to live in Grenada permanently. However, it’s certainly possible with weekly direct flights to New York, Miami, London, Frankfurt, and other major hubs.

Investors who choose the real estate investment route are usually looking to generate rental income for five years after securing citizenship, as the real estate must be held to retain citizenship. 

It’s important to note that you can only invest in pre-approved real estate projects, such as luxury resorts, villas, and hotels. You can find the full list here, though we recommend doing some of your own research as the official website may not be the most up-to-date.

If you choose the real estate option, the government fees are considerably higher than the donation route:  

• Whether you’re applying as a single, couple, or family of four, the real estate investment option requires US$50,000 in administration fees. Additional people will add US$25,000 each to the bill.
• The application fee is US$1,500 per person.
• The processing fee is US$1,500 per person for a single main applicant or a couple, an additional US$1,500 for each dependant over 18 and US$500 per child aged 0-17.
•  The due diligence fee is US$5,000 per person for a single applicant or a couple and every additional person aged 17 or older will add US$5,000 to the total bill.
• There’s an interview fee of US$1000 per adult (person aged 17 or over).

After the five-year holding period is up, you can sell your real estate.

Recently the government approved the sale and purchase agreement of CBI properties in the secondary market. This means you can buy an investment property from another CBI applicant when they are ready to sell. 

New Developer Requirements

Generally speaking, the CBI industry has fallen foul of real estate developers collecting investor money and then stalling the development, taking a long time to complete it or never finishing at all.

In fact, about one-third of all Caribbean real estate developments, including those in Grenada, are ever completed. However, Grenada is trying to solve the problem. 

It recently changed the law to require developers to invest 20% of their own funds in their projects.

It is hoped the 20% equity stake will prevent half-built projects, with many industry professionals lauding the change as Grenada’s CBI program moves in line with international standards.

Developers who cannot prove that they’ve covered one-fifth from their own pocket risk losing all the CBI capital.

This change, combined with the new rule to keep real estate investors’ money in escrow rather than handing it over, has given Grenadian CBI a boost in terms of accountability and trustworthiness. 

The Step-by-Step Application Process

Are you set on obtaining your Grenadian passport? Do you have an idea of which investment route you’d like to choose?

First, you’ll need to check if you’re eligible under the following criteria:

• 18+ years old

• No criminal record

• Proof of legal income and your net worth

• In good health

• Not under sanctions, restrictions or bans on entry to the European Union, USA, the UK, and Canada

• Haven’t been convicted for a crime for which the punishment is 6+ months imprisonment or more

• Are not under current criminal investigation.

Note that Grenada is one of the few CBI countries with no nationality restrictions, meaning that qualified applicants of all nationalities are welcome to apply. 

Everyone, of course, is subject to stringent due diligence checks – even your dependants. 

The Grenada citizenship-by-investment program isn’t complicated; the entire process is entirely digital, takes about four months and can be accomplished in five steps: 

1. Pre-Check

To speed up the application process there is now a pre-check step.

You initiate your application process by sending in the main documents. The application must be sent by agents rather than directly to the Grenada Citizenship through the Investment Committee.

In another recent change, from September 4, 2023, several Caribbean nations, including Grenada, have introduced a mandatory interview as part of the CBI process. Applicants must also pay a processing fee of US$1,000 per family member. The good news is that the automated interview is conducted remotely over email.

This pre-check step streamlines the application process and allows the due diligence checks to start. You will need to submit the following documents: 

• Current passport
• Birth certificate 
• Picture ID
• Police clearance certificate
• Education certificate
• Proof of address
• Marriage/divorce certificate
• Bank reference
• Proof of source of funds
• Various other forms, including: 
  • Form One (Personal Information form) Certified 
  • Form Two (Fingerprints required) must be completed by forensic officer
  • Form Three (particulars for the office of Home Affairs)
  • Form Four (Medical History) completed by an authorised physician
  • Forms 5 and 6 for those who qualify.

2. Submit The Entire Application

Once the pre-check is in motion, you move to execute a Purchase and Sale Agreement and pay the deposit if you are investing in real estate. 

You must pay the government, processing and application fees as you send in the full application.

3. Processing and Decision

The CBI unit will take approximately 2-3 months to process your application. Although Grenada didn’t previously require an interview, an interview process was recently introduced for applicants and dependants over 17 years old. 

 4. Pay Remaining Balance

If your application is approved, you will have to pay the remaining fees, make the donation or finalise the purchase of real estate. 

Within 30 days, you will receive a certificate that allows you to request a passport.

5. Get Your Passport

Take an Oath of Allegiance and apply for your passport. You should receive it within a couple of weeks. Grenadian passports are valid for five years. The passport can be sent to Grenada for renewal and does not require the passport holder’s presence. It can also be renewed through a Grenadian Consulate in the country where the passport holder resides.

The Benefits of Grenada’s Citizenship Program

The advantages of Grenada citizenship by investment are many: 

Visa-free travel to 145 countries: All of Europe’s Schengen Area, the UK, some Balkan countries, and some of Latin America are available to you visa-free with Grenada CBI. 

Visa-free travel to China: Access to one of the world’s largest markets and travel opportunities.

E-2 visa treaty: An investor visa to the United States is accessible to all Grenadian citizens. 

Speedy processing: The government has worked hard to process applications quickly by introducing a pre-check step in the application process.

Pass it on: Your Grenada citizenship can be passed on to your children and their children. 

Grenada Recognises Dual Citizenship: Grenadian citizenship offers the right to live and work in the country for as long as you want. Grenada recognises dual citizenship and there are no restrictions on retaining existing citizenships. 

No language requirement: The application process is straightforward and the requirements do not include a language test.

Entirely digital process: From the document submission to obtaining your passport, the entire process is fully digital. You won’t need to travel to Grenada for any part of the application.

No country exclusions: People from anywhere in the world are applying for Grenadian citizenship. Please note, however, that as of 2022, the government of Grenada has decided to temporarily suspend the acceptance of new applications from Russians and Belarussians.

Children, parents, grandparents and siblings are eligible: The principal applicant can add their entire family under one application.

Attractive tax regime: Grenada has long been a tax haven. It has no tax on worldwide income. There is also no wealth, gift, inheritance or capital gains taxes. Generous incentive packages exist, including corporate tax incentives, full exemption from import duties, tax relief benefits and an export allowance.

No residence requirement: You don’t have to visit or live in Grenada for any period of time. 

The process is confidential: None of your personal information will be relayed to any third party and the entire application process is confidential. 

The Cons of Grenada Citizenship by Investment

There aren’t many disadvantages to having Grenada citizenship by investment. But there are a few sticking points, especially when the Grenada CBI program is compared to other programs in the region. 

High price-point: Grenada citizenship purchase isn’t the cheapest in the region, so you will definitely be paying a premium when you opt for Grenadian citizenship by investment. 

Trouble renewing passports: Stories of investors having a hard time renewing their passports have been circulating online. That’s not to say that you will face the same issues, but it’s something to keep in mind.

Your Grenada Citizenship by Investment

With its wild rainforests, hidden coves, lush spice plantations and a fun and friendly atmosphere, Grenada has all the prerequisites for a perfect beach holiday. 

But it also offers the option to invest in the country in return for citizenship. Make no mistake: you’re paying a premium when you opt to obtain a CBI in Grenada and that’s especially the case if you have a large extended family that you want to bring along. Grenada’s citizenship-by-investment program is one of the only CBI programs to allow adult siblings of the applicant to be included, as well as dependent children of up to 30 years old.

Once you’ve made the decision to go for Grenada citizenship, can you be confident that the island country offers a stable investment climate and an accessible application process?

In short, yes you can. Moreover, Grenada has made significant moves to speed up approvals and simplify the paperwork requirements.

Our confidence in Grenada’s CBI program has grown in the wake of other changes to the way real estate investments work, especially the escrowing of investors’ cash and the 20% own-capital rule that developers must now follow. 

As always, if you think you want to pursue citizenship in Grenada, it’s important to reflect on your goals before you commit. What do you want to accomplish? Is it worth it for you to pay the premium? And, if you want a visa for the United States, are you willing to stay in Grenada for three years to get it?  

Naturally, you want the best passport for the best possible price and one that gives you exactly what you’re seeking. Whether that means more freedom, financial growth or more travel opportunities, our team at Nomad Capitalist can help you find the passport that ticks all your boxes. If you want to learn more about our programs and work with our team, become a client today.